Assignment Task
Introduction
You are to assume the role of a consultant for an accounting firm. There are potential venturers planning to invest in an aviation industry, especially in Singapore Airlines Limited.
You are required to write a report based on the published financial statements of Singapore Airlines Limited
Refer to the Statements of Financial Position for “The Company” (NOT “The Group”) in Page 115 (and other pages as necessary) and calculate the following comparable ten ratios for the year ended 2021 and 2022.
2021
2022
Gross Profit Margin
Operating Profit Margin
Trade Receivable days
Trade Payable days
Inventory days
Interest Cover
Gearing Ratio
Return on Equity
Earnings per share
Price Earnings Ratio
Based on the interpretation and analysis of the ten ratios you have calculated in part
above, recommend to the potential venturers on whether it is advisable to invest in Singapore Airlines
Discuss the limitations and benefits of published
Advise on the non-financial aspects of the investment